It's a tricky situation. But it's hard to say that the Israelis aren't doing some fucked upshit over there. The Palestinians are definitely getting fucked hard.
I'm sure most getbiggers will say that the Palestinians deserve it because they are brown people though.
They can get a Palestinian state if they:
1. agree to the 1967 boundries
2. act reasonable on right of return and visits to various holy sites within the Israeli borders
3. end all suicide bombing
4. negotiate on settlements for both sides.
5. keep the Garza strip stable
6. stop the riots and rocket attacks from the Syrian border area.
7. Go to the UN and establish a definte plan and border.